Gildan
Gildan Completes Sale of HanesBrands Australia to BB Retail Capital
Gildan Activewear has finalised the sale of HanesBrands Australia to BBFIT Investments, an affiliate of BB Retail Capital, for around A$700 million, with proceeds earmarked for debt reduction.
Gildan finalises divestiture of HanesBrands Australia
Canadian apparel manufacturer Gildan Activewear Inc. has completed the sale of its Australian subsidiary, HanesBrands Australia (HAA), to Singapore-based BBFIT Investments Pte Ltd. The buyer is an associated entity of Australian private investment firm BB Retail Capital. The all-cash transaction closed at approximately A$700 million (US$492 million), with about US$490 million paid at closing. HAA had been classified as held for sale and reported as discontinued operations in Gildan’s financial statements since the fourth quarter of 2025.
Strategic move to streamline operations
Gildan’s president and CEO, Glenn J. Chamandy, commented: “The completion of this transaction represents another important step in the execution of our ongoing integration plan. We remain focused on executing our integration priorities, capturing synergies and leveraging the strength of our brands. We thank the HAA team for its dedication and valuable contributions to the business and wish the entire team continued success under its new ownership.”
The divestment is part of Gildan’s broader strategy to streamline its core portfolio and strengthen its balance sheet. The company plans to allocate the net proceeds from the sale toward paying down outstanding debt. Chamandy noted that the business will continue streamlining its core portfolio while strengthening its balance sheet through proceeds directed to debt retirement.
Financial and operational impact
The sale of HAA marks a significant step in Gildan’s ongoing integration plan, following its acquisition of HanesBrands’ global operations. By offloading the Australian business, Gildan aims to focus on its core markets and improve operational efficiency. The proceeds will be used to reduce debt, which is expected to enhance the company’s financial flexibility and support future growth initiatives.
HanesBrands Australia had been a part of Gildan’s portfolio following the acquisition of HanesBrands’ global business. The decision to sell HAA aligns with Gildan’s objective to optimise its asset base and concentrate on areas with the highest potential for synergies and returns.
Looking ahead
With the completion of this transaction, Gildan continues to execute its integration priorities. The company remains committed to capturing synergies and leveraging the strength of its brands. The sale of HAA is expected to allow Gildan to allocate more resources to its core business and drive long-term value for shareholders.
BB Retail Capital, the Australian private investment firm behind BBFIT Investments, acquires a well-established business in HanesBrands Australia. The new ownership is expected to build on the existing foundation and explore further opportunities in the Australian market.
The financial details of the transaction, including the final purchase price and the amount paid at closing, reflect the agreed terms between the parties. Gildan’s move to sell HAA and reduce debt is a clear indication of its focus on financial discipline and strategic portfolio management.
